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The Trans-Pacific Partnership (Tpp) Negotiations and Issues for Congress Congressional Research Service The Trans Pacific Partnership TPP is a proposed regional free trade agreement FTA being negotiated among the United States, Australia, Brunei, Canada, Chile, Japan, Malaysia, Mexico, New Zealand, Peru, Singapore, and Vietnam U.S negotiators and others describe and envision the TPP as a comprehensive and high standard FTA that aims to liberalize trade in nearly allThe Trans Pacific Partnership TPP is a proposed regional free trade agreement FTA being negotiated among the United States, Australia, Brunei, Canada, Chile, Japan, Malaysia, Mexico, New Zealand, Peru, Singapore, and Vietnam U.S negotiators and others describe and envision the TPP as a comprehensive and high standard FTA that aims to liberalize trade in nearly all goods and services and include rules based commitments beyond those currently established in the World Trade Organization WTO The broad outline of an agreement was announced on the sidelines of the Asia Pacific Economic Cooperation APEC ministerial in November 2011, in Honolulu, HI If concluded as envisioned, the TPP potentially could eliminate tariff and nontariff barriers to trade and investment among the parties and could serve as a template for a future trade pact among APEC members and potentially other countries Congress has a direct interest in the negotiations, both through influencing U.S negotiating positions with the executive branch, and by considering legislation to implement any resulting agreement In recent months, President Obama has discussed achieving some type of TPP outcome by the upcoming APEC ministerial in early November 2014, but ongoing differences among negotiating parties, particularly the United States and Japan, are reportedly making progress challenging Outstanding issues involving sensitivities for the participants are expected to require political level decisions to be made The negotiating dynamic itself is complex for example, decisions on key market access issues on dairy, sugar, and textiles and apparel may depend on the outcome of rules negotiations involving intellectual property rights or state owned enterprises, among other issues Over 20 chapters are under discussion in the negotiations The United States is negotiating market access for goods, services, and agriculture with countries with which it does not currently have FTAs Brunei, Japan, Malaysia, New Zealand, and Vietnam Negotiations are also being conducted regarding disciplines on intellectual property rights, trade in services, government procurement, investment, rules of origin, competition, labor, and environment, among other issues In many cases, the rules being negotiated are intended to be rigorous than comparable rules found in the WTO Some topics, such as state owned enterprises, regulatory coherence, and supply chain competitiveness, may break new ground in FTA negotiations As the countries that make up the TPP negotiating partners include advanced industrialized, middle income, and developing economies, the TPP, if implemented, may involve restructuring and reform of the economies of some participants It has also has the potential to spur economic growth in the region As a leading trade policy initiative of the Obama Administration, the TPP serves several strategic goals It is a manifestation of the Administration s rebalance to the Asia Pacific, and if concluded, may serve to shape the economic architecture of the region It has the potential to harmonize existing agreements with U.S FTA partners, attract new participants, and establish regional rules on new policy issues facing the global economy possibly providing impetus to future multilateral liberalization under the WTO.
The Trans-Pacific Partnership (Tpp) Negotiations and Issues for Congress Congressional Research Service